Investment Policy Review - Rwanda - UNCTAD Virtual Institute

Investment Policy Review of Rwanda
CONTENTS
PREFACE .............................................................................III
CONTENTS ..........................................................................V
ABBREVIATIONS ....................................................................IX
RWANDA - STATISTICAL OVERVIEW .................................................X
INTRODUCTION .....................................................................1
I. ECONOMIC STRUCTURE AND FDI IMPACT .......................................3
A. Economic structure and the role of FDI ...............................................3
1. Output structure and FDI .......................................................3
2. 1994 and structural reforms .....................................................6
3. External sector ...............................................................11
4. Human resources and demographic structure ......................................13
a. Demographic structure ..........................................................13
b. Education and skills ............................................................15
B. FDI trends .......................................................................17
1. FDI size and growth. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
2. Distribution by sector and industry ..............................................24
3. Types of FDI and countries of origin .............................................25
C. Assessment ......................................................................27
II. THE INVESTMENT FRAMEWORK ................................................29
A. Introduction .....................................................................29
B. Constitutional set-up ..............................................................29
C. Entry, treatment and protection of FDI ..............................................31
1. Entry and establishment of FDI .................................................31
2. Treatment and protection of FDI ................................................33
D. General measures for regulating business ............................................34
1. Taxation .....................................................................34
a. VAT .........................................................................34
b. Corporate and personal income tax ...............................................35
c. Export processing zones .........................................................40
d. Customs duties and inspection ...................................................41
2. Foreign exchange arrangements .................................................42
3. Labour regulation .............................................................43
4. Employment of foreigners ......................................................45
a. Identify skills and competences needs .............................................46
b. Redesign immigration policy ......................................................47
c. Set up training and transfer of skills requirements ...................................49
d. Provide special incentives to individuals .............................................49
e. Actively promote Rwanda and target people ........................................49
5. Land ........................................................................50
6. Environmental regulations ......................................................52
7. Governance and judiciary system ................................................52
8. Competition regulation ........................................................53
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